The PC Jeweller stock seems to be treading on the recovery path since the last two days after the share lost about 60 per cent of its market value in seven trading sessions until Wednesday.The stock has gained 34% during the last two days. Today, the stock rose over nearly 24% to hit an intra day high of 150.40. The stock opened with a gain of 4.90% at 127.40 on BSE. Its market capitalisation rose to Rs 5,830.54 crore.
At 11:57 am, the stock was trading 22.19% or 26.95 points higher at 148.40 level on BSE.
On Thursday, the PC Jeweller stock made a smart recovery snapping an eight-day falling streak and closed 9.76 percent higher at Rs 121.45 on value buying. Amid recovery, the stock bounced back yesterday from its 52-week low of 95.05 after falling 14% intra day.
The stock climbed amid a news report that CBI had arrested owner of PC Jeweller but later the firm clarified to the BSE that the news item was factually incorrect.
The stock has recovered more than half the value it lost during eight days in two trading sessions (including today’s) amid another negative development. FMR LLC, a fund managed by Fidelity International on April 30, sold over 1.3 crore shares of PC Jeweller through open market transaction on Thursday.
Before the disposal, Fidelity managed funds had 2.77 crore shares in the company equivalent to 7.04 per cent stake. Today, the company said FMR LLC sold nearly 47 lakh shares of PC Jeweller through open market transaction taking the two day stake sale to nearly 1.77 crore shares.
It is the top traded stock on BSE with over 82 lakh shares changing hands in 72,304 trades till 11:48 am. Total turnover or the value of trade in the stock came at Rs 11,561 lakh.
The PC Jeweller stock has been on slippery grounds on withholding of information on a business relationship with e-governance service provider Vakrangee and on reports that its promoter Padam Chand Gupta gifted some his stake to family members via off -market transactions. The stock is still down 67 percent since the beginning of this year and has underperformed the Sensex by 46.17%. The firm will announce its Q4 earnings on May 25, 2018. The board will also consider the proposal for buyback of fully paid-up equity shares of the company.
PC Jeweller is engaged in the business of manufacture, retail and export of jewellery. The firm offers a range of products including 100% hallmarked gold jewellery, certified diamond jewellery and other jewellery, including silver articles, with a focus on diamond jewellery and jewellery for weddings. Established in 2005, PC Jeweller is the second-largest listed jewellery retailer in India. businesstoday